PARLIAMENT OF NEW ZEALAND.

Ashburton Guardian, Volume XXIX, Issue 7823, 16 June 1909, Page 4

PARLIAMENT OF NEW ZEALAND.

HOUSE OF REPRESENTATIVES,

Per Press Association. WELLINGTON, June 15. The House met at 11.30. On a motion by the Premier —"That returns showing loans to local bodies be laid on. the table "—a discussion arose on the general question. , Sir Joseph Ward said that he recognised the importance of the subject, and when Jig was m London he.would try to arrange for loans to local bodies at a low rate of interest, but could do nothing now. THE CAUCUS PARLIAMENT. On the motion of the Premier, it was agreed that a report of the informal meeting of Parliament should be added to Hansard, „ THE PUBLIC FINANCES. . Mr Massey asked . the Speaker. for his ruling on the point as to whether the Finance Bill introduced by the Premier last night was an Appropriation Bill. The Speaker ruled that the Bill was m order. . ■ ■ ' . Mr Massey said that there were certain proposals m the Finance Bill to which he strongly objected, and would 'oppose when the Bill entered the committee stage. In addition to the million and a-quarter mentioned m the first part of. ..the . Bill, £75,000 was proposed to be. raised, and this meant increasing the debt by £1,400,000. The Hpuse had not had sufficient' information regarding the financial proposals,- and he objected to extending appropriation till the 14th of October. The House was given to understand that it would meet again m September, and the proper thing to do was to bring down an .imprest Bill when the House met again. • It was proposed to extend the unauthorised expenditure to £20Q,000. .Regarding Clause 8, he interpreted it to mean that the Government were empowered to start roads and bridges without the authority of Parliament. The Bill would take a week to consider, as it opened up the whole question of administration. The finances of the colony were not m a satisfactory state. While we had a surphis of £184>000, we had liabilities of £287,132. Parliament had a great deal more responsibility this session than usual: our prosperity had gone, and Government was not facing the position, but was shirking its duties. He hoped that no attempt would be made to raise money by short-dated loans, which would seriously embarrass the country. He referred to the exodus of settlers from the dominion to Queensland. This was caused by the Land Act of two years ago, for when settlers found that the land throAvn open for settlement was set apart for endowment purposes they went away m disgust. Mr Massey said that the railways had a capital of 29 millions invested m them, but were returning only. £800,000; consequently there was a very serious loss on the railways. ' * , Mr Buchanan, deprecated constant railing at capitalists. Within the past day or two people who had money invested m land were called criminals. The Government placed obstacles m the way of settlers acquiring the freehold. The House resumed at 2.30 p.m. Mr Arnold said he hoped the Premier would enquire into financial matters connected with the High Commissioner's- Office m London. He would probably find that this office cost more than that of any other State. Mr Herdman, dealing with the advances to settlers system, condemned the granting of loans to people other than settlers. Mr Okey said he was disappointed that a sum had not been appropriated for advances to settlers. A good deal of the depression of last year was due to the Department not having sufficient funds to meet the requirements of settlers. ' \ \ Mr W. Fraser said the House was losing control of the public purse, which Had gone to the Treasury benches. . He hoped that the next meeting of Parliament would determine that the control of the public purse should be m its hands. Members should have time given them to indicate which works should. be proceeded with. The Government had been unintentionally a factor m depleting the country of the capital necessary to carry on its industries. Mr Newman condemned the Government's borrowing policy. Mr James Allen said a hand-to-mouth • borrowing policy was exceedingly dangerous. He hoped the House would pass* a. resolution m favour of military training, which would have its effect at the, Defence Conference. Ho had examined the Swiss system of defence, and had come to the conclusion that it was incomparably the best system for New Zealand to adopt. It did not interfere with employment, but helped to make men more efficient industrially, and improved their physique and morale. It was; the opposite of conscription. He proposed that training should begin from the day a boy went to a primary school. Physical drill should be undertaken by the sob-bo} tedehers.'' After, leaving schooj a yoiytti should be carried- through adefence" cadet system,'' which should be compulsory, otherwise hg' wou}d " losg tl;a 'trpiping Jie' jifi4 already receiyecf. From eighteen to twenty-one ye^ps every man physically fit should go through a course of training to render him fit for the first line of defence. From twenty-one years to thirty years he should put m every year six days m the field. After thirty years a man should be free from drill, but till the age of forty-eight he should be liable to be called out. The debate was interrupted by the 5.30 p.m. adjournment. The House, resumed at 7.30 p.m. Mr Clark said he had taken a great deal of interest ip. the vbluntee.rs, $.nd he was*' oppofee^ to:p^mpujsDj;y: tT^initig; if the' volunteer system 1 !ico{ild'i!ben-Ten-dered efficient. He proposed a scheme whereby volunteers should be insured for £100, payable at fifty- years of age. The amount of the premium would be £2 7s a year per head. l This, on 20,000 men, would be £47,000. This w'oijla increase t|te fdrce by 20,000 next year I,' and;-m the tK}rd'. year' :wpftjd raise t&e" 'force .WSQ/QQQI -A-pthe; end of ihe: tenth ' year they would 'h'dv'e lJ.O,ppf) menfit to;take the fifeld. '-'if was'the U^ty oif the 6j4i4 .tf> epjpburage; :fc{ie' Voluh'tters.' 'If his e'ch'emo Vbcked b^/^ae'dojninion'wouid; for. £350,'p0p,' hg.ye'*&# efficfVp^'forpf for. defence pur'i>hmi ' ' '■"■■''■ ;' ■■'■' v ' " 1 Ml? T. I}. Tayjor- said it wag a matte? for regret that the Premier had }n^ trodueed conversational matter into: the Bill. He wondered when thero would be a party m the House to bring before it the state of men who did not earn £100 • a year. This was the class that should be-considered m regard to taxation. The Customs tax pressed severely on industrial workers. The British Chancellor of the Exchequer had relieved men with 1 families m the way of taxation. He had never met a man who by the labour of his hands had acquired a competency. It was said that capital was being driven out of the country. Capital was said to be a fugitive upon the face of the earth, yet it seemed to be doing remarkably well. He hoped that upon the return of the Premier the Advances to Settlers Office would be reorganised, so that people could :propure, .the cftpit^l required''tt>"caVry 1-6n 'ihelr; v6nterj?risß.i Local" government refoi-in was^u*getiMy required. ••' : ''■<■ ''■< '•■"■'' "'■'' '•- ;"-^ -:' v' : Sjr_ Joseph Ward referred to the ; criticisfn on- the loansj' and 6aid th^t those who indulged m . sflph Qrjtipisiri wbre constantly asking foir'mohipj for, works r in v their frivn'v districts. 1"• The leader 'of the Opposition' had' stated that the salaries of Civil Servants had bfecji withheld when dyje, for the Rur,posfcf of; swelling th/e sur,pjus. He (the Premier.) had made enquiries, h^cj found' that the' statement was absQ-^ jiljbeiy false. ■ Regarding the ftlle,geq exodus' of _ settlers to Queensland, Sii: Joseph said he had a' cable message from a man m Queensland who was desirous of investing money m New Zealand. He charged those who objected to tlie limit of £500 granted to settlers with having killed a proposal to fix the limit at £5000. The talk of capital being driven out of the country was nonsense. During the last twelve months over four millions had been borrowed by the Government without a hitch-, thus proving that our credit was high, notwithstanding attempts to damage our credit. He should do as the Canadians did, and exact a penalty frpm people endeavour-

ing to damage the credit of the. colony. The second reading of the Bill was then agreed to,- and' the Bill was immediately committed. . Mr Massey moved an amendment m Clause 2 to the effect that September 30 be substituted for October 14. The Government, he said, were asking for supplies till the middle of October, thus deferring the meeting of Parliament till that date. The Government should be compelled to bring down an Imprest Supply Bill at the end of September. , The Premier explained that it would be necessary to have a week to prepare an Imprest Supply Bill. He could not return before September'3o. The amendment was lost by 43 votes to 25, and the clause was agreed to. Mr Massey, referring to Clause 4, objected to the increase of the unauthorised expenditure. He moved to strike out Sub-clause "A" of Clause 4—"That the sum of £150,000 shall be deemed to be substituted for the sum of £100,000." The Premier explained that the limit of the unauthorised expenditure required to be increased to meet increased expenditure as the business of the country expanded. Mr T. E. Taylor asked if the increase of unauthorised expenditure were temporary or permanent. The Premier said it was temporary. Mr Taylor asked what the reason was for the increase m unauthorised expenditure. Sir Joseph Ward explained that it was necessary to make provision • for the salaries of the members of the Railway Department and other payments. (Left sitting when the Telegraph Office closed.)